Juniors and seniors in Mr. Hauser’s Advanced Economics class got a first-hand look at financial planning and strategy and how to apply their knowledge to a project close to home: the future development of The Storm King School! Over the past month, the students have been working with one another and several key staff members on a strategic financial plan for the School. Their analysis led them to recommend an expansion of the music and performing arts program at SKS. On Tuesday, October 10, the class presented their final findings and conclusions to several members of the faculty.
Advanced Economics student Lorenzo Pretto
In preparing their analysis, the students had some help along the way. During the course of the project, Storm King’s Director of Development Tom Fogarty spoke to the class about the elements of the School’s master plan, including the construction of a new academic center in the near future. He also explained the School’s revenue structure as a non-profit organization, the function and importance of the School’s endowment and annual fund, and presented an analysis of donations received from alumni. He pointed out the value of an SKS diploma and therefore the interest alumni have in maintaining and improving the reputation and academic rigor of the School.
Development Director Tom Fogarty and student Zay Megias
In an interview with Assistant Headmaster of Finance Ray Hecht, the class also learned about the School’s fixed and variable expenditures, planned campus improvements, emergency planning, opportunity costs, banking relationships, insurance coverage, and strategic planning process. Mr. Hecht provided detailed examples of the financial challenges SKS has overcome in the past few years and a summary of the strong financial health of the School today.
Advanced Economics student Jack Besterman
Using the information and tools they were provided, the students analyzed the School’s current financial plan and went on to prepare a professional presentation of their recommendation for a strategic direction for the School. Their recommendation was characterized by their goal of an expanded and profitable music and performing arts program. Their case included a SWOT Analysis outlining the strengths, weaknesses, opportunities, and threats of the School. Additionally, the class completed a marketing analysis with a strong focus on social media, a review of SKS customers and competitors, and an examination of how to make an expanded music program financially feasible and accessible to more students. In the end, the class concluded that the considerable musical and performing arts talent in the School presents a significant opportunity for SKS to become a leading music and performing arts school in this region.
Advanced Economics instructor and History & Social Sciences Chair, Michael Hauser
Mr. Hauser, Mr. Fogarty, and Mr. Hecht all agree that using the School’s own financial plan as a starting point was not only a good way to give students an example of economics applied in the real world, but also to get them involved in the future development of their school. “I am very pleased with the outcome of the project and the level of the analysis and presentation performed by the class. They all did an outstanding job,” commented Mr. Hauser.